Allahabad High Court
Usha Devi And 2 Others vs New India Assurance Company Ltd. ... on 1 August, 2019
Bench: Kaushal Jayendra Thaker
HIGH COURT OF JUDICATURE AT ALLAHABAD
?Court No. - 33
Case :- FIRST APPEAL FROM ORDER No. - 1034 of 2019
Appellant :- Usha Devi And 2 Others
Respondent :- New India Assurance Company Ltd. And 3 Others
Counsel for Appellant :- Krishna Mohan Rai
Counsel for Respondent :- S.B.L. Gaur,Sudhanshu Behari Lal Gour
Hon'ble Dr. Kaushal Jayendra Thaker,J.
1. Heard Sri Krishna Mohan Rai, learned counsel for the appellant and Sri S.B.L. Gaur, learned counsel for the respondent.
2. This appeal, at the behest of the claimants, challenges the judgment and award dated 24.12.2018 passed by Motor Accident Claims Tribunal/IVth Additional District Judge, Firozabad (hereinafter referred to as 'Tribunal') in Claim Petition No.335 of 2015 awarding a sum of Rs.4,47,000/- with interest at the rate of 7%.
3. The accident is not in dispute. The issue of negligence is decided in favour of the appellant herein. The Insurance Company has not challenged the liability imposed on them by the Tribunal. The only issue to be decided is the quantum.
4. It is submitted by learned counsel for the appellant that the Tribunal has considered Rs.3,000/- per annum which is unjust even in the year of accident. It is submitted that the income of the deceased should have been considered to be at least twice as he had own business. He was 29 years of age. He was survived by his widow and two minor daughters. It is submitted that the deduction towards personal expenses also requires to be disturbed and the amount for future loss of income of deceased be also granted.
5. It is submitted by learned counsel for the respondent that the income which has not been proved cannot be more than what has been assessed by the Tribunal.
6. The judgment in National Insurance Company Limited Vs. Pranay Sethi and Others, 2017 0 Supreme (SC) 1050 was apply.
7. Counsel for the respondent has further submitted that amount requires to be added as per Uttar Pradesh Motor Vehicles Rules, 1998 (hereinafter referred to as 'Rules') and the interest cannot be paid as prayed for namely 7% and it should be at 9% on the enhanced amount and the amount which has already been awarded.
8. After hearing the learned counsels for the parties and perusing the judgment and order impugned, this Court feels that the income of the deceased should have been Rs.4000/- per month namely Rs.48,000/- per year to which as the deceased was 29 years of age, 40% of the income requires to be added in view of the decision in Pranay Sethi (Supra) which would come to Rs.48,000 + 19,200 = Rs.67,200/- out of which 1/3rd requires to be deducted as personal expenses of the deceased and, hence, the annual datum figure available to the family is Rs.44,800/- rounded up to Rs.45,000/-. As the deceased was in the age bracket of 26-30 years, the applicable multiplier would be 17 in view of the decision of the Apex Court in Sarla Verma Vs. Delhi Transport Corporation, (2009) 6 SCC 121. In addition to that Rs.70,000/- is granted towards conventional heads. Hence, the claimants are entitled to a total sum of Rs. 45,000 x 17 +70,000 = Rs.8,35,000/-.
9. I am unable to accept the submission of counsel for the respondent though the Rules are made applicable, the later decision of the Apex Court will govern the situation as 20 years have elapsed from the date the Rules were framed and the Second Schedule has been held to be unworkable as per the decision of the Apex Court.
10. The rate of interest will have to be enhanced and I am unable to accept the submission of learned counsel for the respondent that the Rules will apply. A Division Bench of Lucknow Bench in F.A.F.O. No. 199 of 2017 (National Insurance Company Limited Vs. Lavkush and another) decided on 21.3.2017 have interpreted the Rules, which has been followed by this Court time and again, will enure for the benefit of the appellant and, therefore the rate of interest would be 9% as held in catena of decision of this High Court.
11. In view of the above, the appeal is partly allowed. Judgment and decree passed by the Tribunal shall stand modified to the aforesaid extent. The amount be deposited with interest at the rate of 9% from the date of filing of the claim petition till award and 6% thereafter till the amount is deposited. The amount be deposited within a period of 12 weeks from today. The amount already deposited be deducted from the amount to be deposited.
12. This Court is thankful to both the counsels to see that this very old matter disposed of.
Order Date :- 1.8.2019
Mukesh
